March/April 2003 Newsletter

 

The President’s Corner
by Clay Bowlby

On March 6th and 7th I attended the C.W.A./Qwest Presidents’ meeting in Denver. As always, the meeting provided valuable information on the company and its immediate future. Notable in attendance were Dick Notebaert, Orrin Schaffer, Barry Allen, Auggie Curcotti, and a host of other senior leadership.

Mr. Notebaert did a Q&A on the state of the company; and Mr. Schaffer covered the financial issues that the company is trying to resolve in order to improve its standing on Wall Street. The projections are optimistic, but there are many potholes in the road to avoid. The year 2003 will be critical to the long term success of the company and whether or not it will continue as we know it today. I do not say this very often about management at any level, but there is a sense of confidence and purpose in these men that I have not seen at this company in a very long time.

Particularly, Mr. Schaffer was impressive to me in his grasp of the situation and his plans for resolution.. I spoke with him privately and he confided that most people supposed that the prudent thing would be to file bankruptcy and move on, but that he and Mr. Notebaert wanted to maintain the company as a whole and keep control of it. He explained this would be a much harder task but that in the end it would be better for all of us. I could not agree more; it is also nice to see management take the high road and not the easy way out.

 
 

Stories in this issue:

The major issue discussed at the meeting was, of course, the impending contract negotiations. Let’s make it clear that both the company and the union are interested in resolving the issue without a strike. We all understand that a strike will kill the golden goose. With that in mind the C.W.A. Presidents have agreed to open bargaining early. This probably will commence at the end of April. The initial thoughts are that it will be a two year deal and the main issues will be to resolve contract language. There may not be much in the way of a raise, but our position will be no take-backs and no health care increases. I have been advocating some or all of these ideas for some time now, so as you can imagine I am in favor of the preliminary decision to go ahead with the early bargaining under these circumstances. I know that there is room for much discussion, but I think in this situation we can make significant gains in articles of the agreement which will help our members with job security. There are many other places to make great strides, so that when we do get this company turned around and functioning again we will be in a position to demand our share of the money pie.

For all of the older members (and that includes me), I asked the question from the floor of Barry Allen, “will the company pursue the possibility of a cash balance account for the pension fund?” He answered, with Notebaert and Schaffer in the room, that “we won’t do that—we won’t go there.” This was for me the best news of the entire meeting. I have worked too long and to hard to give up my pension, and I think that the company would not risk the anger of employees in a contract year over this issue.

Our bargaining committee will have a difficult task but in my mind better to start early and walk away if we can not reach an agreement than to wait for the last minute to try and resolve all of the issues involved in full blown bargaining.

The regular meeting will be March 25th and we will field questions at that time. Please be in attendance.

In unionism,
Clay Bowlby
Pres. C.W.A. Local 7804


Secretary’s Report

By Randy Grams

ERPB Expansion

The following is a letter of agreement between Qwest Corporation Assistant Bargaining Agent, Deanna Simmons, and Annie Hill, Assistant to the Vice President-CWA District 7.

Please note that nothing in this agreement alters the current provision for employees to receive their regular pension benefit in a lump sum option.

We entered into a Letter of Agreement dated August 19, 2001 which provided that participants in the Pension Plan who were declared surplus under Article 19 and left the employ of the Company could receive their VSPP/ISPP payments as an Enhanced Retirement Pension Benefit (ERPB) in a lump sum or any other form of payment offered under the Pension Plan.

The letter also provided that the ERPB would expire ninety (90) days prior to the expiration of the current Collective Bargaining Agreement.

The following outlines the agreement we have now entered into relating to the expiration of ERPB.

  • Employees who are participants in the Pension Plan and leave the Company with Zipp VSPP on or before June 30, 2003 will be eligible to receive their Zipp VSPP payments as an ERPB in a lump sum or any other form of payment offered under the Pension Plan.
  • Employees who are participants in the Pension Plan and leave the Company as a result of an EVSPP match with a surplus employee who was part of a force adjustment pool declared on or before March 30, 2003 will be eligible to receive the EVSPP payments in a lump sum or any other form of payment offered under the Pension Plan.
  • Employees who are participants in the Pension Plan but in force adjustment pools declared March 31, 2003 and later, regardless of their separation date, will not be eligible to receive their VSPP/ISPP payments as an ERPB.
  • There will be no separation payments paid as ERPB benefits after June 30, 2003.
  • Nothing in this agreement alters the current provision for employees to receive their regular pension benefits in a lump sum option.

If the above accurately reflects our agreement with regard to ERPB expiration, please indicate your concurrence by signing below. Concurred. Dated March 10, 2003.

Randy Grams, Secretary-Treasurer


Paint Tacoma-Pierce Beautiful

This summer I would like to see if we as a Local could do some good community service to aid someone in our area. I have been in touch with Paint Tacoma-Pierce Beautiful 2003. They paint houses of low-income seniors and low-income disabled men and women. We will be looking for able-bodied members and family to help. As of press time I do not have a date but hope to soon. Please check out the organizations web site at www.paintbeautiful.org or contact me at foneman316@yahoo.com

Thanks.
Kevin Lathrop


GE Strike Sounds Health Care Alarm

Reprinted from Forbes.com

New York—The health care-cost fire burning at General Electric looks likely to spread to other companies

Just after midnight this morning [January 1, 20003]17,5000 or more of GE’s 310,000 workers began a two-day strike to protest a hike in their health insurance co-payments. Union leadership sees the strike as a warning to GE, but it could just as well be an alarm for companies across the U.S. Similar troubles are coming to a health plan hear you.

WHY? Health care premiums are increasing so quickly that even major companies like GE can’t contain them and say they must pass some of the costs on to employees.

Since 1999, GE’s health care costs have spiraled up 45% to $1.4billion. For employers as a whole, premiums are up 35% over the same period, says Jon Gable, an analyst at the Health Research and Education Trust. That may sound like a lot, but with health insurance premiums growing 13% a year on average, the rest of the U.S. should catch up with GE’s current spending pattern in a mere seven months.

“This is the biggest cost issue for GE right now, “ says spokesman an Gary Sheffer. “Our profits wer up 7% first year and our health care costs increased 15%.”

But Fairfield, Conn.-based GE is running into more resistance than it may have bargained for in trying to pass costs on to workers. Two unions, The International Union of Electronic Workers/Communications Workers of America (IUE/CWA) and the United Electrical, Radio and Machine Workers of America (UE) are joining forces in the strike to make their displeasure known ahead of bargaining scheduled for May

“We view this as a deterrent strike,” says Edward Fire, president of the IUE/CWA, which represents 100,000 workers at companies including GE, General Dynamics, and General Motors. “They have fired a shot across our bow; we are returning fire.”


image: Map

What is that up there? Why it’s a map with the location of YOUR Local 7804 union office. If you have never attended a meeting before, why not make a point of doing so soon? Our meetings are strengthened by each and every participant. After all, a Union derives its strength, direction, and purpose from its individual members taking part, adding their valuable ideas, and voice to the group. If you think the union isn’t your “thing” or “never did anything “ for you, maybe that’s because it needs YOU participating in its growth, direction, and goals. Come and be a part. We meet the fourth Tuesday, each month, at 6 p.m.



Family Medical and Leave Act: FYI

Covered employers must grant an eligible employee up to a total of 12 work weeks of unpaid leave during any 12-month period for one or more of the following reasons:

  • for the birth and care of the newborn child of the employee
  • for placement with the employee of a son or daughter for adoption or foster care
  • to care for an immediate family member (spouse, child, or parent) with a serious health condition; or
  • to take medical leave when the employee is unable to work because of a serious health condition.

This is the intent of the law; for application and wording, visit the Local’s website and link to FMLA.


Good and Welfare:

Anniversaries: Randy Fletcher, 25; Richard Godwin, 35; Frank Swilley, 25; Leonard Serdahl, 20; Zachary Huff, 5.

Retirees : Rick Gibson; Dave Rieken, and Rhonda Brooks.

.Joey Logan—–Local 7804 is saddened by the loss of member Joey Logan. Joey passed away, losing his battle with cancer, on Friday, March 14th, 2003. Joey will be remembered for his sense of humor and friendly personality. We extend our sympathies to his family and friends

 

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